It may be a cliché, but over the past six months, how things have changed and how they’ve stayed the same in the Ring of Fire. There may be some ongoing activity or discussions behind the scenes, but without a doubt, the declining state of the global economy, First Nations issues and Ontario politics seem to have halted any progress on a verity of issues.
First let’s look at the fragile nature of the world economy. The United States is still struggling, Europe is worse, with skyrocketing unemployment rates in many countries and China’s past double-digit expansion is gone. It is estimated that their economy will “only” grow 7% this year.
The price of commodities and the value of resource companies have plummeted. Many mining projects are being put on hold or cancelled while layoff notices are being handed out. Funding for junior exploration companies – the source of future discoveries like the Ring of Fire – has become almost impossible to find putting many on life support. … Read the remainder of the blog at RepublicofMining.com/2012/12/20/ring-of-fire-miles-to-go-before-we-dig-by-stan-sudol/
*Stan Sudol is a Toronto-based communications consultant, speechwriter and columnist who blogs at www.republicofmining.com.